Unloking the potential of technology for inclusive service innovation in emerging economies

Purpose – This study investigates the role of new technologies (e.g. smart technologies and networked connections) to undertake the development of social practices for people’s well-being and for the viability of complex service systems. This research aims to enhance current understanding of the social and inclusive dimension of technology, as well as, of the transformative effects it produces on social practices in the emerging economies (EEs). This study posits new technologies as operand and operant resources that enable systematic and socially focussed innovation for the sustainable development of EEs (Reynoso et al., 2015b; Fadaeenejad et al., 2014; Gunasekaran and Harmantzis, 2007). Design/Methodology/approach – This study adopts case study method (Yin, 2012). The case study is focused on Curitiba, the capital city of Parana State (Brazil), which is internationally recognized as a model city where collaborative and participatory environment can be observed (Arbel, 2012). Since 1970, Curitiba adopted creative smart and low cost service solutions (Reis, et al., 2010; Macedo, 2013; Arbel, 2012) to face the urban development challenges faced by cities in emerging economies (e.g. sprawl, environmental degradation, economic inequality; Reynoso et al., 2015a,b). Findings – This study found that Curitiba is a sustainable service ecosystem that has effectively used smart technologies to engage key and knowledgeable stakeholders (e.g. government, companies, citizens, etc.) into the design and the implementation of sustainable, innovative and scalable urban solutions. Open access fiber network, free internet access in low-income neighborhoods and schools, electronic libraries, smart grids, mobility sensors, new bus-technologies, etc. have been integrated into existing, well-established and culture embedded civic engagement practices (e.g. acupuncture, charette and education) originally designed to avoid bureaucracy, remove stakeholders resistance and increase the citizens trust. In such context, the inclusive and social role of technology prevails. Technologies boost the effectiveness and the transformative role of the civic engagement practices (soft-technological) for fighting illiteracy and for mobilizing people to action for their own social inclusion and the wellbeing of the community. Practical implications – This study frames technology from a new social perspective and advances the extant knowledge on its role and on its effects in the EEs (Ostrom et al., 2015; Reynoso et al., 2015a,b; Gebauer et al., 2013). In such context, technologies don’t work as isolated device but as a resource triggering mechanism perfectly integrated within the process of institutionalized social practice (e.g. urban acupuncture, charette, education) which are based on continuous learning, resource integration and co-responsibility. The useful implementation of technologies for social and inclusive purposes (e.g. bridging the social divide) requires a service ecosystem approach (Reynoso et al., 2015a). Therefore, technology have to be: i) multi-actor, to involve all individuals as active operant resources; ii) socially embedded, to be easily accepted and used for accessing to services locally focused; iii) flexible, to match the actor's specific competence and roles; and v) designed according to an ecosystem approach to create value for all the beneficiaries, instead of only the technology provider. Originality/value – The study sets technology as socially embedded resource (e.g operand and operant), which is designed and implemented according to the elements explaining the emerging economy ecosystem (Reynoso et al., 2015a). In contrast to previous studies that portray technologies in EEs as simple, affordable, frugal or mundane resource (Radjou, et al., 2012), the Curitiba case centres on the adoption of advanced smart solutions. We demonstrate how of new technology relies on the technology fruitful integration in the cultural context and on its ability to match the context/social needs. The study contributes with reflections on the new potential of technologies in EEs. It gives useful insight to bridge the social divide through the digital inclusion. Key words - Emerging economies, social innovation, smart technologies, service innovation, service system Paper type –Research paper